18th Sep 2015 17:12
LONDON (Alliance News) - Playtech PLC said Friday that, as a result of the "high profile nature" of its acquisition of Plus500 Ltd, receipt of all regulatory approvals is taking longer than originally anticipated, although still within the relevant regulatory and statutory timetables.
Playtech has agreed to acquire contracts-for-difference trader Plus500 in a GBP459 million deal in early June. However, the deal came after after Plus500 had battled through a torrid month in which it was forced to suspend UK customer accounts amid concerns about its anti-money laundering processes. It also had to defend its accounting policies and confirm that it had paid its dividends. The deal had faced opposition from Odey Asset Management LLP, which claimed the bid "materially undervalues" Plus500.
Playtech said Friday it already holds a number of licenses from financial regulatory bodies, and is not "currently aware of any issues which would give rise to the required regulatory approvals not being granted in due course, having already obtained the approval of the Cyprus Securities and Exchange Commission."
It said the regulatory assessment of the deal should be completed by the end of November, and said it remains hopeful for an October 2015 completion. It still expects its acquisition of Ava Trade Ltd to complete around the end of September or early October.
Shares in Playtech closed up 0.4% at 857.50 Friday. Shares in Plus500 closed down 0.3% at 380.72 pence.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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